The United Kingdom Gambling Commission has been in the process of reviewing and overhauling the country’s gambling industry in recent times. This has seen it introduce a number of changes, including a reduction in the maximum bet possible on fixed odds betting terminals.
Yet, the latest move from the regulatory body will have larger effects on the industry overall. This is because the Commission has taken the opportunity to release a statement that will out-rightly ban the use of credit cards for online bingo and other forms of gambling from April 14, 2020.
As it happens, a ban on gambling online with credit cards has been the policy of the Labour Party since September of 2018. This policy has garnered significant support from various Members of Parliament, forming a cross-party coalition against credit card use for gambling purposes. Now, it seems as though the Commission is listening, and the upcoming ban was announced on Tuesday, January 14, 2020.
Sports betting may be the prime focus of credit card gamblers, but other activities, including bingo (both online and offline), were found to be responsible for a significant number of people utilising credit cards, too.
Those with low gambling literacy scores were found to be the most affected by this, and it is these types of players who frequently find themselves suffering from gambling addiction problems. A Credit Card User Analysis survey carried out by the Gambling Commission in October of 2019 found that 40% of such low literacy players used credit cards for participating in bingo.
Online Bingo Card Users Outdo Land-Based
It’s true to say that just about everything has moved into the online sphere today, and that includes participation in bingo. A game that was once played by little old ladies in huge bingo halls has become a much more cultured gambling activity, with younger players now taking part via online sites. It is through these sites that the vast majority of bingo credit card users make their deposits, rather than in land-based establishments.
Online bingo sites have accepted credit card deposits ever since such platforms became available to access in the UK. This means that anyone who currently uses one for playing online bingo will also need to take an alternative route. While these sites do accept other forms of payment, there’s the potential for a slight dip in the number of players accessing the sites and participating in online bingo.
This latest move by the Commission comes amid the expectation that Prime Minister Boris Johnson and his majority Conservative party will draw up a new Gambling Act for the country. This will replace the one that was passed by Tony Blair back in 2005, and this has received much criticism in recent times due to the reduction in regulation that has come alongside it.
Along with the ban on credit cards being used for online gambling transactions, it will also be necessary for operators in the United Kingdom to become a part of the GAMSTOP scheme. This allows gamblers to self-exclude themselves from all operators’ websites for a specified period of time, rather than having to go through these singularly and separately.
Pros and Cons of Online Bingo Credit Card Ban
Even though the ban on credit card use at online bingo sites isn’t due to come into effect until April 14, that date isn’t so far away. Within that three months, both operators and players will need to get used to the idea of not using credit cards for their gambling activities.
Naturally, the Commission’s decision on this has been taken as a way of trying to reduce the number of problem gamblers in the United Kingdom. Whether or not the ban will have any significant effect on that figure remains to be seen. Of course, if it does, that can only be a positive result of the credit card ban.
One of the issues that may come from this ban is that bingo players may choose to either not participate in bingo gaming at all or revert back to land-based establishments rather than online sites. Despite the fact that credit card use will be banned for both online and offline setups, some users may not wish to input debit card details to online sites or open e-wallet accounts to use instead.
While it’s true that online bingo players will still be able to make use of a variety of other accepted methods (sites already tend to allow players to deposit through alternatives such as debit cards, prepaid cards etc), the likelihood is that not everybody will want to do this.
Some players will utilise credit cards for online bingo because it allows them to game and then pay off the charges at a later date. However, it is because of this method that an increasing number of people are finding themselves in debt and subsequently, with a gambling problem, too. If the amount of people with such a problem is reduced, then surely the credit card ban can primarily be a positive thing.